Future Group founder Kishore Biyani.After Nilgiri, Bharti Retail and Big Apple, Heritage Food will be Kishore Biyani fourth acquisition in the food retail segment in less than five years.

Founded in the year 1992 by Nara Chandrababu Naidu, Heritage Foods runs six business divisions including Retail. They have Heritage Fresh stores, which are 3, 000 sq.ft. carrying about 5, 500 SKUs In an earlier interview, Dharmender Matai, COO, Retail & Bakery, Heritage Fresh told ET, Heritage Fresh is working on the 118th store to be launched soon.He also said, "We have recently appointed M/s. KPMG as Advisor for induction of a suitable strategic partner/investor for retail business."

If the acquisition turns well, including the Heritage Fresh chain, Future Group's total store count will stand at more than 850 outlets. It now operates around 13 million square feet of retail space in 221 cities, with an annual customer footfall of 295 million.

There will be many benefits for Future Group. First, the acquisition will help the Group to further sell its private label consumer products and the move will make them more attractive to foreign investors. Since 100% FDI is allowed in the locally sourced and produced food retail segment in India.

Future Group expects its own food brands to account for nearly 70% of earnings from corresponding product categories at its supermarkets, part of the larger strategy to reach Rs 20,000 crore in sales from in-house brands by 2021.